asked the Minister for Industry and Commerce whether any consideration has been given to altering the present legislation governing mining and mineral exploration concessions, and whether he will make a statement on present Government policy.
Ceisteanna—Questions. Oral Answers. - Mining and Mineral Exploration.
23.
The appropriateness of the legislation governing mining and mineral exploration concessions is regularly reviewed and if it seems to me, at any time, that it needs revision I will take action accordingly.
The policy of the Government is not to participate directly in mineral exploration and development but to provide adequate facilities and attractive incentives to induce competent private enterprise concerns to engage in such activities.
If the stage has been reached at which there is a definite profitable future for this industry does the Minister think the time has arrived when the taxation position should be altered to coincide with the establishment of this country as a mining country?
The Deputy's question had to do with legislation. A question about reviewing the taxation system would be one for the Minister for Finance.
Would the Minister agree that there is a very big difference between established mining countries and Ireland?
There was a big difference between established mining countries and Ireland but due to the enterprise of the Government that has changed and we are becoming an established mining country.
The Minister believes that three swallows make a summer?
No, but I accept that this is a pretty natural observation. We have moved a lot from the stage where 20 years ago we were looked upon as a country without any minerals.
Is it true that the State itself did attempt to work a mine and that cost the taxpayers a lot of money? Is it true that the present development has so far not alone not cost the taxpayers money but is in fact putting money into taxes as well as helping the balance of payments?
This is true. The whole question must be looked at objectively and let me compliment the Deputy on his approach to this. You have the situation now in which people ask "Why did the Government not do such-and-such a few years ago?" The Government did attempt to do it a number of years ago and had to cease doing it. In fact, the incentives which were subsequently offered did attract prospectors into the country who have now created a situation in which the country is being looked at from a different point of view. Certainly, as I said in my reply, if a change of legislation is required this can be done.
(Cavan): May I take it that in operating the present legislation the Minister will ensure that every consideration will be given to local people who own land in the vicinity of places in which it is thought minerals exist, that every consideration will be given to locals and people who have been engaged in this business for many years?
Naturally the Minister would be most interested in trying to protect their interests. The whole object of the exercise is to protect the interests of the Irish people.
I gathered from the Minister on his recent television interview when he was questioned about this matter that he did indicate that possibly there would be a change in the taxation position for new companies setting up——
The question of taxation does not arise on this question.
Would the Minister agree that, where the profitability of a company is assured, the taxation position, which frees them from all tax for 20 years, should be reviewed? Obviously by that time the life of the mine would be finished. Is it not commonsense that in such a situation we should adopt the same attitude as other mining countries and take on a similar taxation procedure?
The Deputy talks about taxation and profit. There is a situation in which I can impose certain royalties—royalties or taxation, call it what you will—but I have, under existing legislation, that power to fix those royalties which are not normally described as taxation but which are equally effective.
Of course it is taxation.